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Got a quick question: Best Buy Rewardzone Discover Card question? Thanks for any response. 2nd question I got is.. I'm wondering about one of my accounts that has gone into collections, and is pretty close to being charged off.. |
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I'm stumped. I'm not so sure what is the answer to your question. I'll do some poking around and get back to you if I bump into an decent answer. You should email the people at Discover Card as they probably could give you an answer..
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Wouldn't the OC have to produce the signed Discover credit card application? Or would electronic copy or other docs meet what the laws demand?.
The account was in good standing until about July of this year, well after Chase gobbled up WAMU (Sept 2008).. What is this Rule 5000 regaging you speak of? I'll start scouring the boards for more info, but if you have any specific links it would be much appreciated!. Thanks!.. |
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A signed application would not be required. They might not have that on file any longer, but it won't matter...
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Centex:.
OK...did some quick homework. From what I gathered, Rule 5000 reaging is a way to "rehab" an account, so long as it is late but not charged off. Part of the process is to make 3 on-time payments, and then the account can be reported current and lates are removed from CRA's (sorry for the mangled abridged version). Is that more or less accurate?. But I think I also read somewhere that part of the Rule 5000 reaging process can include negotiating a settled balance? One thread here:. Http://creditboards.com/forums/index.php?s...rule+5000\. Are there any step by step "cook books" out there on how to initiate this process?. This post has been edited by. Arameth. : 09 December 2009 - 11:01 AM.. |
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You can attempt to negotiate a removal of some fees, but those fee credits cannot be applied to the three months of payments that must be made under FDIC rule..
Personally, I would rather have an account that is rehabbed and available to use than I would screw around with post-chargeoff processes..... |
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Ah...gotcha. So negotiating a settlement, say of 20 to 30 percent of the original amount, is not going to fit in with the rule 5000 line of thinking..
I've been out of work for nearly 6 months now, and making 3 payments is probably not realistic...unless I get my job back in January.. |
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Nope..
The three months do not have to be a lump sum, although it certainly helps with the process. The reaging cannot occur until the three months nut has been received and the bank cannot contribute to those three months (at least not according to FDIC rules).. Sorry to hear of the job situation...if the Rule5000 is not viable, then you just need to focus on other elements of dealing with the matter. However, with fresh paper, it will be a far easier task than something being collected four or five years down the road..... |
